This document summarizes India's 3G spectrum auction and subsequent issues. It describes how major telecom companies like Bharti Airtel, Vodafone, and Idea Cellular strategically bid to maximize their spectrum wins while minimizing costs, saving over 20,000 crore rupees. It then explains how the companies violated their licenses by offering pan-Indian 3G services without licenses for all areas, and failed to meet rollout obligations. The collusive bidding and violations resulted in losses to the exchequer and damage to other parties. The government responded by introducing a new National Telecom Policy and regulatory actions.

1. 3G SCAM

2.  Names of the group members
 Harsha Godhwani
 Dipti
 Mamta Karira
 Nisha Jain
 Sangeeta V
 Chandni Zaveri

3. Introduction
What is 3G ..??
 3G- set of standards used for mobile devices
and mobile telecommunication services and
networks that comply with the International
Mobile Telecommunications-2000 (IMT-
2000) specifications by the International
Telecommunication Union.

4. Government’s Decision

5. Auction Process
 Each of the auctions for 3g spectrum in India would
be separate.
 Bidders have authentication -tokens and passwords.
 The auctioneer Rothchild and Dotecon will announce
higher price.

6. Companies Participated
 Bharti Airtel
 Aircel
 Idea Cellular
 Reliance Communications
 S Tel
 Tata Teleservices
 Vodafone Essar

7. Results of Auction
Telecom Bharti Vodafone Aircel Reliance Idea Tata STel
Circle Airtel comm Cellular tele/Tata
(GSM) Docomo
Delhi Yes Yes No Yes No No NA
Mumbai Yes Yes No Yes No No NA
Kolkata No Yes Yes Yes No No NA
Chennai Yes Yes Yes No No No NA
Gujarat No Yes No No Yes Yes NA
Maharas No Yes No No Yes Yes NA
htra &
Goa

8. THE SCAM
 Collusive Bidding
 Violation of Licenses
 Roll out Obligations

9. Collusive Bidding
 Strategic bidding by Vodafone, Bharati , Airtel and
Idea.
 Out of 22 service areas, Vodafone has secured license
for 9, Airtel for 13 and Idea for 9.
 Against the total license fee of Rs. 16,750.6 crore,
they saved saving thereby over Rs.20,000 crore.

10. Violation of License
 After Bidding Scenario in front of Trial- they are now offering
full blown-pan Indian services.
 Companies pretending that they are using roaming
arrangements.
 But Roaming is defined as; “the ability for a cellular customer
to automatically make and receive voice calls, send and receive
data, or access other services when travelling outside the
geographical coverage area of the home network, by means of
using a visited network.”
 So it clearly say; that It cannot be used to offer services in areas
where the operator does not have a license or a network.

11. Roll Out Obligations
 Roll out obligations for the telecom companies.
 E.g. BSNL..

12. Government’s reaction
National Telecom policy -2012

13.  Department of Telecom – DoT
 TRAI – Telecom regulatory authority of India

14. Consequences
 Loss to Exchequer
 Damage to other parties.